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By: Peter

Determine the Allocated Factory Overhead cost for the month

1.Determine the Allocated Factory Overhead cost for the month of August for Ford using the following information. The allocation base is direct labor costs.Estimated Direct Labor Used yearly: $125,000Estimated Indirect Costs (factory overhead) yearly: $62,500Direct Labor Used during August: $55,000 2.Wilson Sports manufactures leather footballs in their factory. Identify each of the following as a Direct Material, Direct Labor or Factory Overhead example for Wilson’s football production:Thread for footballs Direct MaterialEmployee putting completed footballs in a box ________Factory foreman’s salary ________Leather for footballs ________Factory utilities ________3.Compute Cost of Goods Manufactured using the following information:Direct Materials Used: $30,000 Factory (Manufacturing) Overhead: $4,000 Beginning Work in Process Inventory: $10,000 Ending Work in Process Inventory: $3,000Direct Labor: $20,000 Finished Goods Inventory: $13,000